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Norway’s national wealth fund

Norway sets aside proceeds from oil and gas production and now has an investment fund worth 8,140 billion NOK, which is about $1.3 trillion Canadian. Given the present population, that’s more than $250,000 for every man, woman and child. The fund describes itself:

The Government Pension Fund Global is saving for future generations in Norway. One day the oil will run out, but the return on the fund will continue to benefit the Norwegian population.

Norway reports about 30,000 people directly employed in oil and gas extraction.

Statistics Canada reports 50,000 are directly employed extracting oil and gas in Alberta. The number is only 2,000 in British Columbia.

Of course, BC has no equivalent to Norway’s fund. Despite the fantastical Liberal promise of a $100 billion Prosperity Fund, there will be no contributions to it from oil and gas companies in the forseeable future. Producers now pay little or nothing to BC for gas rights and royalties.

Despite an oil and gas industry larger in Alberta than in Norway, the Canadian province’s Heritage Fund held assets worth $17.5 billion at the end of 2017. That’s up 2% from $17.1 billion five years before.

However, in the last three fiscal years, Alberta budgeted for deficits totalling over $25 billion, substantially more than the Heritage Fund. Even though the province now ranks second to BC in provincial economic growth, it currently forecasts an annual deficit of $10 billion.

It’s a hard reality but a government that wants to provide services to people has to collect taxes sufficient to fund programs or it must borrow money. Rachel Notley’s government chooses to accumulate debt. They’re not brave enough to raise taxes sharply or demand a share of oil and gas production in the manner of Norway.

Norway’s national wealth fund is worth C$256,000 for every man, woman and child. That’s over C$1 million Canadian for a family of four. In Alberta, the 2017 budgeted deficit is $10,000 for a family of four. #abpoli#cdnpoli#skpoli

Maybe now Alberta and Ottawa should be constantly reminded about the mis-management of the resourse industry. “Yes, I agree Ms. Notley, the Government of Alberta should finance the building of that pipeline and as a matter of fact the money should come from the Alberta Heritage Fund.” “What’s that you say Ms. Notley?” “Speak louder, we can’t hear you.”

So we had a stake in our own resources with Petro Canada. Then they sold that for some reason right before the biggest oil boom in history and we got peanuts. Now on the down turn the Federal government is talking about paying an American company my tax dollars for something that same company and its investors say is not worth their money ? And we get a carbon tax…. you know for the planet. Why can Quebec shut down energy east (17billion) with one word but when we say …hey we want to make sure we are protecting our coast it’s … we might send in the army , we are going to cut off your gas ,and we are going to cut off federal transfers. Nice bullying neighbours…

The NEB is corrupt. Imagine not considering there are no herring still after the Exon Valdez spill in Alaska of the 1980’s in places. Deepwater Horizon.
Ask the people about their fisheries in the Gulf Coast.
Imagine not studying knocking out the bottom of the food chain in the Salish Sea, and then ignoring native treaties.
Politicians are in collusion with a corporation from Texas to subvert the laws of Canada. This is the court challenge I’d like to see; the prosecution of the NEB for collusion with politicians to circumvent the laws of Canada.
I love my taxes to go into that one.
Alberta made their bed and now will pay the price..Too bad for the people when they read about Norway.
Stinko!
Corruption is something a social democracy can ill afford.

Wasting money on destructive energy projects makes zero sense when there are better alternatives. British Columbia is spending billions on Site C. It could suspend the project today and have less harmful and cheaper sources of clean power operational by the time more electricity is needed.

As is typical of resource management, the regulating ministry sees its prime purpose is to enhance growth and profitability of companies extracting resources. the public share of produced values is no longer material. This cozy relationship costs taxpayers billions of dollars, money that could be spent on renewable energy, transit, daycare, education or many […]

Canada’s Conservatives are committed to the Republican Party value of opposing voter fraud, if someone else is doing it. Like their American mentors, HarperCons protest electoral manipulations even more strongly when no one is doing it. Bill C-76 amends the Canada Elections Act to establish spending limits for third parties and political parties before of a […]

Freelance reporter Bob Mackin wrote that BC’s Legislature was a scandal waiting to happen and he quoted journalism professor and former Legislative reporter Sean Holman about the significant potential for abuse. Mackin blames excessive secrecy and lack of transparency...

BC Hydro's quarterly report for the period ended September 30, 2018 shows the utility is very good at some things. Specifically, borrowing and spending money. In the thirteen years from 2005, assets employed to service BC consumers have almost tripled in value. Trouble is, actual sales to residential, commercial and industrial consumers are less in 2018 […]

The case is clear. British Columbia's Government decided to reduce the public share of natural gas revenues to almost nothing. This is despite substantial growth in the quantities of natural gas being extracted.

Perhaps an even more vile set of falsehoods is BC Hydro's continuing claims that demand for electricity by its BC consumers has been growing steadily. That has led to excessive capital spending that measures in the billions.

Check out the fine work on electoral reform by Merv Adey 2018 fellowship recipient Andrew Seal. It’s a fabulous five part series published by The Tyee. We’d like to raise additional funds to initiate the next fellowship. You can be sure it will support a comprehensive examination of a subject important to all British Columbians.